EU to create single supervisory system for banks

EU finance ministers Tuesday approved a single supervisory mechanism for the oversight of banks and other credit institutions, a key step towards Europe's banking union. The single supervisory mechanism (SSM) will be composed of the European Central Bank (ECB) and the supervisory authorities of the EU member states, said the ministers in a statement after their meeting in Luxembourg. It will cover the euro area as well as non-eurozone countries that choose to participate. The ECB will assume its supervisory tasks twelve months after entry into force of the legislation, noted the statement